Suppose a firm is considering investing in research that would lead to a cost-saving innovation. Assuming the

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Suppose a firm is considering investing in research that would lead to a cost-saving innovation. Assuming the firm can retain this innovation solely for its own use, will the additional profits from the lower (marginal) cost be greater if the firm is a monopolist or competes against another, say, in a Cournot or Bertrand model?
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Intermediate Microeconomics and Its Application

ISBN: 978-1133189039

12th edition

Authors: Walter Nicholson, Christopher M. Snyder

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